Coca-Cola, the world’s largest beverage company, embarked on a plan to cut $3 billion in annual expenses by 2019 after a global slump in sales volume caused revenue to miss analysts’ estimates.

The company said its quarterly profit fell 14 per cent as sales of carbonated beverage volumes in North America declined. The company, whose shares fell 4 per cent, also said it expected to miss its long-term earnings growth target in 2014, due in part to currency fluctuations. It forecast a 6 percentage point impact from currency on full-year operating income, which is on the high end of the outlook the company gave last quarter.

The world’s largest beverage maker said net income for the third quarter ended September 26th declined to $2.1 billion, or 48 cents a share, from $2.4 billion, or 54 cents a share, a year earlier. Excluding charges for refranchising some North American bottling operations and other special items, earnings per share were 53 cents, in line with analysts’ expectations.

The company said it would refranchise the majority of its company-owned North American bottling territories by the end of 2017 and a substantial portion of the remaining territories no later than 2020. Overall revenue was flat at $11.97 billion. Analysts were expecting $12.12 billion.

Coke said it was targeting an annual savings of $3 billion per year by 2019 through an expansion of its productivity initiatives.

Chief executive Muhtar Kent is struggling with sluggish international growth and mounting concerns over obesity and artificial sweeteners.

The woes overshadowed a US market- share gain from the company’s “Share a

Coke” program, which replaced its logo on bottles and cans with common names and phrases.

Mr Kent also has been contending with investor criticism that the company isn't doing enough to cope with the slowdown. "We recognize that we need to increase the scope and pace of change as we continue to face a challenging macroeconomic environment," Mr Kent (61) said in the statement.

Bloomberg/Reuters